‘Sold a lie’: Young mum reveals why she regrets buying a home

When Bonnie Hanson purchased a home in 2021, she felt an overwhelming sense of pride, but it didn’t last.

When Bonnie Hanson purchased a home in 2021, she felt an overwhelming sense of pride, but within a few short months, she was filled with regret and stress.

The 35-year-old secured a $550,000 loan and bought a home in Newcastle using the Family Home Guarantee, a government initiative designed to help single parents purchase property with as little as a two per cent deposit.

The government guarantees 18 per cent of a single parent’s home loan and, in 2021, over 10,000 single parents were entitled to the scheme.

Ms Hanson bought a three-bedroom townhouse in Newcastle. She only had a five per cent deposit, but she figured it’d be okay because she had a good office job.

Bonnie Hanson bought a three-bedroom townhouse in Newcastle. Picture: TikTok/ bigdogbon

When the young mum purchased her property, the cash rate was 0.10 per cent. Picture: TikTok/ bigdogbon

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She works in an industry where the average worker earns between $90,000 and $130,000, and you can earn extra if you do contract work.

“Buying the house was a way to prove that I could do it on my own. But now …. It is annoying. Stupid house,” she told news.com.au.

“I bought at a bad time.”

Ms Hanson said she felt regret within months because her “mortgage doubled” within six months and, suddenly, she couldn’t afford her home.

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When the young mum purchased her property, the cash rate was 0.10 per cent. By November 2022, it was 2.85 per cent.

From there, the rates just kept surging.

By November 2023, they were at a high of 4.35 per cent and, even now, they’ve only dropped to 4.10 per cent.

“I couldn’t keep up with it,” she said.

It’s been a huge stress for most mortgage holders in Australia and, in Ms Hanson’s case, she went from paying $500 per week to over $900 a week, and her decent salary suddenly was eaten up by repayments.

In the end, she moved out of her home and is now renting out the property to a relative, while she rents somewhere else because she couldn’t afford to stay in the house.

“It was impossible,” she said.

In the end, she moved out of her home. Picture: TikTok/ bigdogbon

Paying her mortgage became ‘impossible’. Picture: TikTok/ bigdogbon

Ms Hanson stressed that having a tenant hasn’t saved her from financial stress. It has certainly helped, but the mortgage anxiety still looms.

“It saves me about $100 a week and my tenant isn’t even close to paying off my mortgage,” she said.

The 35-year-old single mum explained that she thinks about money “every day” and spends half her life worrying about how she’ll make ends meet.

She’s also fuming.

She feels like she never should have been approved for a loan and was set up to fail by a system that was meant to help her.

“The thing that feels the most unfair is the irresponsibility of the bank that loaned a single mum that amount of money,” she said.

“They’ve set us up to fail, and in terms of home ownership, it is horrific.”

Ms Hanson said she’s made formal complaints to the bank that loaned her the money but has never heard back.

She was also on a variable loan when rate rises began and got completely smashed by them.

At this point, she is wondering if she should just sell her home.

Ms Hanson said that because she bought at the peak of the market, the amount she owes is “so high” and rates are still inflated.

“I’ve paid $150,000 off in three years and I’ve only paid off $25,000 on the loan. Imagine what I could have done with that money if I hadn’t been sold a lie that I could afford a home,” she said.

Ms Hanson said she’s made formal complaints to the bank that loaned her the money. Picture: TikTok/ bigdogbon

She wonders if she should sell. Picture: TikTok/BigDogBon

She’s now at a crossroads.

She dreams of selling her home, quitting corporate, and finding a career that pays less but makes her happier, but then she worries she’ll regret it.

“I don’t know if I could get back into the market,” she admitted.

On the other hand, she worries that she will regret not prioritising her own happiness over a mortgage.

“I want to live a life full of love and joy and work in a field that really supports that. Corporate pays the bills but at what cost?” she asked.

“I’ve missed so much of my kids lives already working to provide a home for them, and now I don’t even see the value in the stupid house.”